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» 26.03.2010 - Mozambique strengthen ties with Viet Nam
» 24.03.2010 - Mozambique gets €12m budget aid
» 01.03.2010 - Mozambique to carry out agric census to gauge poverty
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Economy - Development

Mozambique to earn US$95 million from sugar exports

afrol News, 16 September - Mozambique is targeting US $95 million from sugar cane exports this year due to higher investment in sugar sector, a spokesman of Centre for Commercial Agriculture Promotion said today.

Mr Pedro Sitoi said 68,000 metric tonnes of white sugar and 12,000 tonnes of brown sugar would be sent to European Union and United States markets, respectively.

"There is significant investment this year in the sugar sector and we hope to earn US$95 million in revenues in the export of 175,000 metric tonnes of sugar exports," he said.

Mozambique's four operational sugar mills are expected to produce about 295,000 tonnes of sugar this year, up from last year's output of 243,860 tonnes.

"The Xinavane and Maragra companies in Maputo province should produce 80,400 tonnes and 79,691 tonnes, while the Sena and Mafambisse companies, in the central province of Sofala, are set to produce 75,000 and 60,000 tonnes respectively," Mr Sitoi said.

According to Mr Sitoi sugar production is expected to reach about 500,000 tonnes in 2009, further saying an investment of around US $177 million is planned for the expansion of the Xinanvane sugar factory, in Maputo province, and Mafambisse sugar factory in Sofala province.

In 2007, sugar exports generated revenues of US$45.9 million, a fall of 29 percent from previous year. In 2006, sale of sugar abroad netted the country US$64 million from exports of 170,311 metric tonnes, an increase on the US$37.7 million posted in 2005.

A South African Tongaat-Hullett group operating Mafambisse and Xinavane factories are also planning to expand their production areas to take advantage of European market.

The expansion would be under auspices of "Everything But Arms" initiative, which will allow poor countries to export all goods except weaponry to Europe free of duties or quotas.

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